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Middle-income boomers underestimate by half the cost of a year in a nursing home and overestimate the hourly rate of in-home health aides by more than twice the actual cost, while many said they were unable to guess at such costs, according to a study by Bankers Life and Casualty. Only 36% of respondents said they think they will need long-term care, but 70% are expected to eventually require such care, the study found. In addition, 56% of respondents said they have had no talks about how they would finance long-term care.

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A widely-held misunderstanding could leave Americans with considerably less resources in retirement than they expect, due to the cost of long-term care, a survey by Bankers Life and Casualty Co. found. Of those responding to the survey, 52% said they expect Medicare, which customarily doesn't pay for assisted living or nursing home care, to take provide the funds for their long-term care.

Clients looking for long-term care insurance are running into difficulty finding anything they can afford. A relatively new product, the hybrid annuity, may offer a solution. Hybrid annuities combine long-term care protection with estate and income planning features.

Middle-income boomers underestimate by half the cost of a year in a nursing home and overestimate the hourly rate of in-home health aides by more than twice the actual cost, while many said they were unable to guess at such costs, according to a study by Bankers Life and Casualty. Only 36% of respondents said they think they will need long-term care, but 70% are expected to eventually require such care, the study found. In addition, 56% of respondents said they have had no talks about how they would finance long-term care.

Many baby boomers haven't properly planned for retirement and risk running out of money before they die, according to a study by Bankers Life and Casualty's Center for a Secure Retirement. The aging generation largely has ignored the costs of long-term care, and, according to the report, among middle-income boomers, 72% have no plan for retirement care.

Baby boomers expressed less confidence than did members of Generation X about their ability to finance long-term care for their parents and themselves, according to a report by the Insured Retirement Institute. Among Generation X respondents, 28% expressed confidence about meeting long-term-care costs, while 24% of baby boomers expressed such confidence. In contrast, 37% of baby boomers and 34% of Generation X respondents said they will be able to finance their own medical expenses in retirement, according to the report.